Verizon Communications (VZ) is set to announce its third-quarter earnings for the fiscal year 2025 on Wednesday, following a positive momentum in its stock price driven by a recent commercial fiber agreement with Tillman Global. This deal is expected to enhance Verizon’s ongoing fiber expansion initiatives and its planned acquisition of Frontier (FYBR).
Investors are keenly awaiting Verizon’s results after key competitors AT&T (T) and T-Mobile US (TMUS) released their financial results last week, which were met with neutral to positive sentiment respectively. Analysts project that Verizon’s performance may not exceed Wall Street’s pessimistic forecasts for the third quarter.
Expectations for Q3 2025 indicate that Verizon’s earnings per share (EPS) will hold steady at $1.19, matching last year’s results, while revenues are anticipated to see a modest growth of about 3%, reaching approximately $34.26 billion compared to $33.33 billion in the same quarter last year.
When contrasted with its peers, T-Mobile reported a remarkable revenue increase of 9% to $21.96 billion, surpassing analysts’ forecasts by $500 million. T-Mobile’s EPS was slightly higher than expected at $2.41, reflecting its strong growth across its postpaid and broadband sectors.
Meanwhile, AT&T’s results were less favorable, as it fell short of revenue expectations by $160 million, with a 1.6% year-over-year revenue increase to $30.71 billion. Its EPS dropped by 10% to 54 cents per share, aligning with analysts’ predictions but down from 60 cents in the previous year. While AT&T saw substantial growth in its broadband and mobility segments, it struggled with a decline in revenue from its business wireline services.
Looking at Verizon’s market position, analysts are currently rating the stock as a Moderate Buy, with five Buy ratings and nine Holds based on assessments from 14 Wall Street analysts over the past three months. The average price target for Verizon shares stands at $47.79, suggesting a potential upside of 22% from its current trading level.
As Verizon gears up for its financial announcement, the market remains optimistic about the company’s ability to navigate competition and continue its growth trajectory in a challenging telecom landscape.